Know More About the Importance of CKYC

In 2013, the government of India introduced CKYC (Central KYC) to eliminate the redundant process of submitting the same documents every time you need a financial service. Your documents get stored in a central database of records upon registering for this service and you get a CKYC number upon successful registration.

CKYC number means a unique number that financial institutions use to verify your documents online. Whenever you need a financial service, you can share this number instead of submitting several documents.

The documents that need to be submitted while registering for CKYC are given below:

• A CKYC application form that is duly signed by you
• Proof of Identity (self-attested)
• Proof of address (self-attested)
• A passport-sized photograph 

These documents can be submitted to a financial institution, KRA (KYC Registration Agency), or other registrars. The CERSAI will verify your documents and provide a 14-digit unique CKYC Id after successful verification. This entire process may take 4 to 7 working days to complete. 

With the introduction of CKYC, the investment process became much hassle-free for both customers and financial institutions. The CKYC norms are accepted by almost all financial organizations like banks, NBFCs, etc. these days. 

For instance, if you want to open a fixed deposit account, you can submit the CKYC number during the documentation stage. FDs ensure steady growth for your savings and they also ensure that your investments are protected from market volatilities. To ensure higher growth for your deposits, you can invest in Bajaj Finance FD. Your deposits will grow at a high FD interest rate of up to 6.75%. You can also benefit from the following aspects of this high-paying FD:

Senior citizen FDs 

Senior citizens get to accelerate their deposits at a 0.25% higher fixed deposit rate on investing in Bajaj Finance Fixed Deposit. With this higher FD rate, they can ensure swift growth for their investments post-retirement. Also, the issue of regular income can be resolved by investing in the non-cumulative FDs of Bajaj Finance. 

For example, as a senior citizen, you invest Rs. 30,00,000 in Bajaj Finance non-cumulative FD for 5 years. The following table shows the interest income options you have: 

Periodic Interest Option	Interest Payout
Monthly	16,375
Quarterly	49,425
Six-monthly	99,600
Yearly	2,02,500

Online system

The online system for investment adopted by Bajaj Finance FD ensures that you don’t face any troubles while investing. The online FD form and online documentation facility enabled by the CKYC process make it a hassle-free process. Also, the option of paying through net banking or UPI makes the entire process seamless and fast. Apart from convenience, you also get a 0.10% higher rate of interest for choosing the online system. 

Cumulative FDs 

With Bajaj Finance cumulative FDs, you have the opportunity to compound the returns quickly. With a longer tenure, you can ensure that the interest income compounds multiple times. It ensures a hefty capitalization of interest at maturity. Also, the higher FD rate allows you to grow your capital without any issues. 

SDP

Invest in SDP (Systematic Deposit Plan) offered by Bajaj Finance if investing a bulk amount is not possible for you. Deposit a fixed amount each month that can start from just Rs. 5,000. You can either choose to withdraw all the deposits at once or you can set the same tenor for all your deposits. The latter option provides you with a steady income post maturity whereas the former lets you accumulate a bulk amount that can be further invested in Bajaj Finance FD or SDP to compound returns. 

The benefit of SDP is that it offers interest rates that apply to Bajaj Finance FD interest rates. It means that you can earn a high-interest income without investing a lump sum amount. Both SDP and Bajaj Finance FD are safe investment options as they have received high credit ratings from CRISIL and ICRA. 

Also, Read: How To Calculate FD Rates In India